One rank One Pension: Cabinet clears Rs 2300 crore package

New Delhi: In a major victory for ex-servicemen, the government has set aside Rs 2,300 crore to implement the one-rank-one-pension (OROP) demand that has been pending for years. This has been a major irritant between the armed forces and the bureaucracy.

In recognition of this demand, the Prime Minister in his Independence Day address this year, had announced OROP, apart from several other measures.

The Union Cabinet secretary Ajit K Seth was put in charge of a committee that has submitted its report, though after more than a month's delay.

OROP implies that servicemen of the same rank and same period of service should get the same pension, irrespective of when they retired. It also means that as and when pension is enhanced, the benefit will also be passed on to those who have retired earlier.